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COVERED: a week-by-week look at the political and legislative developments that led to the creation of Medicare and Medicaid 50 years ago. Bob Rosenblatt, Academy senior fellow and former Los Angeles Times Washington correspondent will report on the people and the maneuvers that led to this major expansion of social insurance.

PRESS RELEASE: Michigan Workers' Compensation Benefits Increase

For Immediate Release:August 16, 2011

Contact: Jill Braunstein at (202) 452-8097

WASHINGTON, DC—Workers’ compensation benefits for Michigan workers injured on the job increased 7.3 percent to $1.5 billion in 2009, according to a study released today by the National Academy of Social Insurance (NASI). In 2009 (the most recent year with complete data), the number of covered workers in Michigan fell to 3.6 million workers, a 7.6 percent drop from the previous year, due in large part to the economic downturn.

Workers’ compensation benefits for medical care in Michigan increased by 4.8 percent to $534 million and cash benefits increased by 8.7 percent to $976 million in 2009. Medical benefits accounted for 35 percent of total benefits.

Workers’ Compensation Benefits and Coverage, 2009

MICHIGAN

Aggregate Amounts

2009

Change in Percent

Covered workers (in millions)

3.6

-7.6

Covered wages (in billions)

$156

-8.9

Workers' compensation benefits paid (in millions)

$1,510

7.3

Medical benefits

534

4.8

Cash benefits

976

8.7

Medical benefits share

35%

-

UNITED STATES

Covered workers (in millions)

124.9

-4.4

Covered wages (in billions)

$5,675

-4.7

Workers' compensation benefits paid (in billions)

$58.3

0.4

Medical benefits

28.9

-1.1

Cash benefits

29.4

1.9

Employer costs

$73.9

-7.6

Source: National Academy of Social Insurance, 2011.

Nationally, workers’ compensation benefits increased 0.4 percent to $58.3 billion. This change included both a 1.1 percent decrease in medical benefits and 1.9 percent increase in cash benefits. Employment of covered workers fell by 4.4 percent, while employer costs declined by 7.6 percent; both numbers represent the biggest percentage declines in over 20 years.

NOTE TO REPORTERS AND EDITORS: For a copy of the printed report, media can contact Jill Braunstein at (202) 452-8097 or by e-mail at jillbraun@nasi.org. All others should contact Ishita Sengupta at isengupta@nasi.org.

John F. Burton, Jr.
Rutgers University and
Cornell University
(732) 274-0600jfburtonjr@aol.com

The National Academy of Social Insurance is a nonprofit, nonpartisan organization made up of the nation's leading experts on social insurance. Its mission is to promote understanding of how social insurance contributes to economic security and a vibrant economy.